Measured Fed approach sends wave of capital inflows into emerging Asia ETFs

Singapore

The US Federal Reserve's loose demeanour has opened the gates for a wave of capital inflows into exchange traded funds (ETFs) linked to emerging Asian equities, according to a study by the Singapore Exchange (SGX).

Six of the 10 best performing ETFs in the first half of March tracked Asian emerging equity indices, SGX said. Those six funds, which tracked Indian and Indonesian indices, had an average month-to-date total return of 4 per cent.